- Adjustable Rate Mortgage (ARM) - A mortgage with an interest rate that changes over time in line with movements in the index. ARMs are also referred to as AML,s (adjustable mortgage loans) or VRMs (variable rate mortgages).
- APR (Annual Percentage Rate) - The cost of your loan expressed as a yearly rate. For mortgages, it includes interest, points, origination fees and any mortgage insurance required by the lender.
- Consolidation Mortgage - Available up to 85% of current appraised value of your home. Good credit and provable income are required on any mortgage in this category exceeding 70% of the current appraised value on your home.
- Conventional Mortgage - A mortgage that is not insured or guaranteed by the federal government.
- Equity - A homeowner's financial interest in a property. Equity is the difference between the fair market value of the property and the amount still owed on its mortgage.
- Fixed Rate Loan - One where the interest rate doesn't change over the life of the loan.
- High-Ratio Mortgage - (low down payment on property purchase, 5% to 24% down. 1-25 year term, fixed or variable rate.
- Line of Credit Mortgage - A line of credit secured by a mortgage on your property.
- Money Saver Mortgage - Let's say you have the following bills:
Car Loan of: $ 5,000 @ $398/month
Credit Cards: $ 8,000 @ $400/month
Misc. Other: $ 2,000 @ $190/month
Total: $15,000 @ $988/month
If these loans were converted to one mortgage on your home, the payments could be as low as $134 a month (or lower) ...a savings of $854 per month! Now couldn't you use an extra $10,000 per year?
- Mortgage Life Insurance - Standard or reducing term insurance that will payout your mortgage in the event of death. Available for single or joint borrowers. Super rates.
- Mortgagor - The borrower giving the lender a lien on property as security for the repayment of a loan.
- Mortgagee - The lender that holds the lien on property as security for the repayment of a loan.
- Private Mortgage - Insurance paid for by the borrower to insure the lender against default in conventional loans.
- Reverse Mortgage - A special program for the elderly that provides income until death. Payment requirements are arranged through the increase in the principal amount of the loan.
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